Brazil Telecom Chooses Aethra Video Conferencing Solution for TVFone Empresas Project.

MIAMI -- Major Win For Video Conferencing Manufacturer to Provide Video Conferencing Solution That Enhances Brazil Telecom's Offering to Enterprise and Residential Customers

Aethra Ameris Telecomunicacoes Ltda., a subsidiary of Aethra SpA Telecommunications, today announced the signing of an agreement with Brazil Telecom. Brazil Telecom, among the largest telecommunications companies in Brazil, chose Aethra's Vega(R) Star Silver solution as a major component of its TVFone project. The project offers video conferencing and communication links for enterprises and broadband residential customers in Brazil Telecom's operating territory which consists of ten (10) Brazilian states and corresponds to 33% of the country's territory.

Completion of this agreement with Brazil Telecom emphasizes Aethra's exceptional technology and cost benefits to carriers. Aethra will provide the equipment infrastructure for Brazil Telecom and its customers requiring video conferencing connectivity and cross-connectivity.

"This is a tremendous business opportunity for Aethra. Beyond that, the offering will be of significant technological benefit to the local community," said Miguel Reyes, regional manager, Caribbean and Latin America, Ameris Telecomunicacoes Ltda.

Brazil Telecom is the first company in Brazil to use Next Generation Network (NGN) solutions to provide video conferencing services that guarantee quality and security for its customers. Brazil Telecom is also the first in the country to offer these services to its residential customer base, adding value to its broadband access services.

"This is a tremendous development for Aethra because it means Brazil Telecom will leverage our technology and equipment to provide their customer base with our video conferencing platform," said Giorgio Viezzoli, chief executive officer, Aethra, Inc.

"Aethra is a leading manufacturer of video conferencing equipment with an impressive legacy of achievement marked by more than 30-years of innovation," said Ricardo Couto, products and services director, Brazil Telecom. "We are delighted to add Aethra to our group of distinguished vendors," Couto said.

About Aethra

Aethra is a leading manufacturer of video conferencing equipment, offering a wide range of state-of-the-art telecommunications equipment in more than 60-countries worldwide, through a network of more than 40-carriers, distributors and resellers. The company develops, manufactures and markets audio and video conferencing systems, in addition to, management solutions for audio, video and data services, as well as ISDN and xDSL and test equipment.

Aethra's legacy, expertise and product offering provides organizations with the latest solutions to implement cost-effective video conferencing systems. Aethra's 30-year heritage and proven innovations have distinguished it in the industry. For more information on Aethra please visit http://www.aethra.com.

About Brazil Telecom

Brazil Telecom provides local and national long distance services as a concessionary in region II, which includes the Brazilian states of Acre, Rondonia, Mato Grosso, Mato Grosso do Sul, Tocantins, Goias, Santa Catarina, Parana, and Rio Grande do Sul, as well as the Federal District. The company has also authorization to provide those services in the remaining Brazilian regions (regions I and III), as well as international long distance services all over the country.

Brazil Telecom also provides network, data communication and other value-added services in region II. The company has just received authorization to start its mobile operation in the states of region II and in August will offer its clients complete and convergent solutions.

Brazil Telecom has 10.7 million lines installed and 296,000 public phones. Today, Brazil Telecom is the second largest broadband operator in Latin America. For more information, visit http://www.Brasiltelecom.com.br.

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